Which of the Following Is a Normative Statement

question 38

Multiple Choice

Which of the following is a normative statement?

• A)The sun rises in the west and sets in the east.
• B)A government deficit will reduce unemployment and cause an increase in prices.
• C)Reducing unemployment is more important than reducing inflation.
• D)Queen Elizabeth II is the wealthiest woman in the world.
• E)An increase in the price of lumber is followed by a decrease in the construction of new houses.

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Definitions:

Vicarious Liability

Holding one person or entity legally responsible for the actions of another, typically an employee or agent.

Principal-Agent Relationship

A relationship in which one party (the agent) is authorized to act on behalf of another (the principal) in conducting transactions with third parties.

Strict Liability

A legal principle where a party is responsible for damages caused by their actions, regardless of negligence or intent.

Voting Agreement

A legal pact among shareholders to vote their shares in a certain manner.